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Comprehensive Risk Management Framework

The document outlines a comprehensive risk management framework, detailing the risk management process, various categories of risk, and the roles and responsibilities of senior management and the board. It highlights key risk areas such as credit, market, operational, liquidity, and strategic risks, as well as the importance of governance and compliance. Additionally, it discusses steps for successful Enterprise Risk Management (ERM) implementation based on the COSO framework.

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Rakiba Hossain
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0% found this document useful (0 votes)
6 views3 pages

Comprehensive Risk Management Framework

The document outlines a comprehensive risk management framework, detailing the risk management process, various categories of risk, and the roles and responsibilities of senior management and the board. It highlights key risk areas such as credit, market, operational, liquidity, and strategic risks, as well as the importance of governance and compliance. Additionally, it discusses steps for successful Enterprise Risk Management (ERM) implementation based on the COSO framework.

Uploaded by

Rakiba Hossain
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

Module E

Risk management scope / Different risk area /category of risk:


Risk management process / 1. Credit Risk :defaulter,counterparties
sound risk Management framework or ,Borrowers risk
system [Link] Risk :Interest rates ,foreign
1. Risk identification exchange rate risk, foreign
2. Risk assessment trade based risk
3. Risk measurement [Link] Rrisk :Fraud risk, process risk,
4. Risk mitigation system risk.
5. Risk monitoring and Reporting [Link] Risk,
6. Governance and culture [Link] rate risk.
7. Compliance and regulations [Link] risk
8. Review and Improvement. [Link] and social risk,
[Link] risk
[Link] and Regulatory risk.
Roll and responsibilities of CEO
board of directors supervisors Senior Shocking events in stress test
Management: 1. Severe Economic recession
1. Strategic planning
[Link] market crash: drop in asset prices,
[Link] goals
such as a housing market or a stock market
[Link] functional departments
[Link] Management [Link] Collapse: share market.
[Link] management [Link] of major borrowers
6. Risk management [Link] downgrades
[Link] control management [Link] crisis
8. legal and Regulatory Complaince
[Link] default: The default of a
9. Approving organizational policies
government defaulting on its debt
10. Approving financial statements
obligations,financial instability
11. Approved budget
12. Meeting a board [Link]
13. Overseeing management 9. Sudden interest rate hike
[Link] and overseeing risk appetite
[Link] corporate culture
[Link] relation and communication.
Different Steps for successful ERM
COSO(Committee of sponsoring implementation :
Organization): ERM components: [Link] commitment and alignment
[Link] risk culture [Link] Environment:Established risk culture
2. Setting objectives and goals [Link] objectives and goals
[Link] Identification [Link] Identification and associated
4. Risk Assessment [Link] a strong policy framework
5. Risk response [Link] Risk response plans
6. Control activities [Link] Control activities and key risk
[Link] and communication activities
8. Risk Monitoring and Reporting [Link] Information and communication
process
[Link] Monitoring and Reporting
[Link] and development
Module E
Risk management scope / Different risk area /category of risk:
Risk management process / 1. Credit Risk :defaulter,counterparties
sound risk Management framework or ,Borrowers risk
system [Link] Risk :Interest rates ,foreign
1. Risk identification exchange rate risk, foreign
2. Risk assessment trade based risk
3. Risk measurement [Link] Rrisk :Fraud risk, process risk,
4. Risk mitigation system risk.
5. Risk monitoring and Reporting [Link] Risk,
6. Governance and culture [Link] rate risk.
7. Compliance and regulations [Link] risk
8. Review and Improvement. [Link] and social risk,
[Link] risk
[Link] and Regulatory risk.
Roll and responsibilities of CEO
board of directors supervisors Senior Shocking events in stress test
Management: 1. Severe Economic recession
1. Strategic planning
[Link] market crash: drop in asset prices,
[Link] goals
such as a housing market or a stock market
[Link] functional departments
[Link] Management [Link] Collapse: share market.
[Link] management [Link] of major borrowers
6. Risk management [Link] downgrades
[Link] control management [Link] crisis
8. legal and Regulatory Complaince
[Link] default: The default of a
9. Approving organizational policies
government defaulting on its debt
10. Approving financial statements
obligations,financial instability
11. Approved budget
12. Meeting a board [Link]
13. Overseeing management 9. Sudden interest rate hike
[Link] and overseeing risk appetite
[Link] corporate culture
[Link] relation and communication.
Different Steps for successful ERM
COSO(Committee of sponsoring implementation :
Organization): ERM components: [Link] commitment and alignment
[Link] risk culture [Link] Environment:Established risk culture
2. Setting objectives and goals [Link] objectives and goals
[Link] Identification [Link] Identification and associated
4. Risk Assessment [Link] a strong policy framework
5. Risk response [Link] Risk response plans
6. Control activities [Link] Control activities and key risk
[Link] and communication activities
8. Risk Monitoring and Reporting [Link] Information and communication
process
[Link] Monitoring and Reporting
[Link] and development

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